VistaREIT plans asset infusion ahead of share offer

VISTAREIT, Inc. has linked its expansion on the Villar group’s profitable assets and project pipeline, as it readies its initial public offering ahead of the country’s recovery from the pandemic.

In a statement over the weekend, the real estate investment trust of Vista Land & Landscapes, Inc. said it is “anchoring its solid expansion program” on what it described as a robust, geographically diverse pipeline of profitable assets.

Vista Land, the listed holding firm of the Vista group, is a developer of residential subdivisions and builder of housing and condominium units.

VistaREIT is also eyeing the infusion into its portfolio of the Worldwide Corporate Center, the Vista group’s prime office property and main office located in Mandaluyong City.

Late last month, VistaREIT filed a registration statement with the Securities and Exchange Commission for a P9.18-billion initial public offering.

Based on its plan, it will offer up to 3.33 billion secondary common shares at a maximum offer price of P2.50 per share, with an overallotment option of up to 333.7 million secondary common shares.

According to Vista Land, VistaREIT has a “massive opportunity for growth” since its inception comes as the Philippine economy recovers from the coronavirus disease 2019 (COVID-19) pandemic.

Vista Land’s commercial assets are composed of 31 malls, seven office buildings and 69 commercial centers with a combined gross floor area (GFA) of 1.6-billion square meters (sq.m.)

It also owns about 3,000 hectares of raw land, also known now as the Vista Estates.

VistaREIT assets account for over 20% of Vista Land’s total gross floor area.

Its initial portfolio is composed of 10 community malls and two office buildings registered with the Philippine Economic Zone Authority with an aggregate gross leasable area (GLA) of 256,404 sq.m.

“Under its comprehensive plan, VistaREIT will also be focusing on the competitiveness of Vista Land’s properties in the market when it comes to its lease rates,” Vista Land said in a statement.

“The lease rates are set to provide opportunities for growth. VistaREIT can still maintain competitive pricing based on existing market rates,” it added.

Apart from current properties, VistaREIT said it also sees as a key advantage its working synergy with the Villar group’s retail ecosystem, which includes the publicly listed AllHome and AllDay home improvement and supermarket chains. — Luisa Maria Jacinta C. Jocson